- 2 - Respondent determined a deficiency in petitioner's Federal income tax for the taxable year 1993 in the amount of $1,882, as well as an accuracy-related penalty under section 6662(a) for negligence or intentional disregard of rules or regulations in the amount of $376. After a concession by respondent,2 the only issue for decision is whether petitioner may exclude from gross income under section 104(a)(2) the settlement proceeds that he received during the year in issue. We hold that petitioner may not exclude such proceeds under section 104(a)(2). FINDINGS OF FACT Some of the facts have been stipulated, and they are so found. Petitioner resided in Mishawaka, Indiana, at the time that his petition was filed with the Court. Petitioner was employed by Whitehall Laboratories, Inc. (Whitehall) in Elkhart, Indiana, from August 1986 through some time in 1990 or 1991. Whitehall was a subsidiary of American Home Products Corp. (AHP). Wyeth-Ayerst Laboratories was a division of AHP. (...continued) 1 Unless otherwise indicated, all section references are to the Internal Revenue Code in effect for the taxable year in issue, and all Rule references are to the Tax Court Rules of Practice and Procedure. 2 Respondent concedes that petitioner is not liable for the accuracy-related penalty under sec. 6662(a).Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011